Whither Rural Financial Institutions

Bhupat M Desai N V Namboodiri Doubts have been raised regarding the financial viability and developmental objectives of rural financial institutions (RFls) and there have been proposals to restructure these institutions to address these concerns. This article argues against this approach as it is based on inappropriate understanding and evaluation of the viability of the RFls. Instead, the article, on the basis on recent researches and studies, makes recommendations to improve the present network of RFls.